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2017 (5) TMI 465 - AT - Service TaxMandap Keeper Service - appellant herein were providing rooms for corporate clients for holding conferences, meetings, etc - It is the case of Revenue that appellant should have discharged service tax liability under the category of Mandap Keeper Service for the relevant period as they had extended the conference room to their clients for holding meetings, etc - Appellant contested the show cause notice on the ground that they are not charging separately for the conference room and hence they are not covered under Mandap Keeper Service as they charge only room rent; the question of rendering Mandap Keeper Service does not arise - Held that: - having discharged luxury tax on the room rent charged to the corporate clients they are not required to pay any service tax - the appellant was correct in contending before the lower authorities that they are not charging any additional amount towards the conference charges for use of conference halls - the view taken in the case of Merwara Estates and Rambagh Palace Hotels Pvt Ltd [2013 (12) TMI 556 - CESTAT NEW DELHI] clearly apply in this case wherein the Tribunal took a view that functions and activity of giving hotel rooms while organising functions in hotels is entirely different from Mandap Keeper Service - appellant need not be taxed under Mandap Keeper Service for the entire amount of the room rent collected by them. The assessment of charging service tax under Mandap Keeper Service on the 20% of the amount collected as room rent subject to further abatement as per N/N. 21/97-ST dated 26/06/1997. Appeal allowed - decided in favor of appellant.
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